Government agencies – both local, state, and Federal – have access to terabytes of data from the VA, HUD, Freddie Mae and Freddie Mac, with more to be discovered via subpoena, from proprietary lender systems to MLS and MERS to credit bureau data, as well as email and other correspondence between borrower, lender, and broker, as well as the other invested parties. From Patriot Act disclosures to county deed filings and lien notices to the eviction notice sent to the sheriff, each of those transactions lives as a datapoint, somewhere…

Then there’s the question of “should we go down this road”? While I personally think the answer is “Hell Yes, Round up the Banksters!”, I’m certain that ‘following the money’ will open the door to more investigations. Fraud may end in the foreclosure process, but it certainly didn’t start there. The trail will certainly lead us past questionable practices regarding the mortgage backed securities, collateralized derivatives, credit default swaps, mortgage servicers, mortgage originators, home appraisers, builders, realtors, mortgage brokers, and yes, homeowners (there’s a variety of infographics here).

The fallout will likely include homeowners, stock markets, the entire domestic financial system, and the entire global economy. Will renewed scrutiny and the likely fallout lengthen the Great Recession, or worse yet precipitate a Great Depression 2.0?